Below is Scott Wilkinson's Introductory Address from the September 28, 2016 Nspire event that included more than fifty Western students from the Ivey FinTech Club and the Nspire Innovation Network. Read more about the Nspire event here.
Introductory Address - Ivey Fintech Club and Nspire Club
September 28, 2016
My name is Scott Wilkinson. I graduated from the Ivey EMBA program in 2008. My career has spanned coding, entrepreneurship, innovation and prototyping, management consulting and line of business leadership roles for financial services and technology firms.
I have been asked to provide some thoughts on the meaning of FinTech – and the meaning of FinTech as it relates to employment, entrepreneurship and changes to the infrastructure of financial services in the future.
RPM has a unique vantage point on Canadian FinTech. RPM manufactures and supports open product investment platforms and best in class registered product systems to 15 Canadian financial companies – including 4 of the 6 Big Banks in Canada. RPM solves the complexity problems of constantly changing regulatory changes and drives efficiencies through quality delivery of software.
The company started off small in 1998 – and now we are 200 people. Our path to leadership has not been easy or simple. There were a lot of stumbles along the way. But we are a quiet success story that embodies the majority of tech companies that succeed in the market today.
We are excited about the opportunities of FinTech.
We think of FinTech as an evolutionary description, rather than a static description. FinTech is one more stop on a process that can be linked to the earliest application of computer technologies and will continue as we move to the era of the Internet of Things and advanced Artificial Intelligence. Consistent through this process is driving efficiencies and better uses of people in the process of business. It is important not to lose sight that technology and processes are fluid to serving the fairly constant needs of consumers and businesses. In other words, ‘Tech’ in FinTech is necessarily fluid.
Second, we need to acknowledge that finance is network-effect driven industry – that is the network of transactions, uses, users, data and transparency of the latter fuels new financial products, business models and providers. As we know it in its current definition, FinTech, is uncovering new product opportunities resulting from new uses and players resulting from the emergence of mobile and e-commerce since 2008. It is the interplay between new consumers (or their devices), nodes and commercial opportunities that is growing FinTech globally.
Third, FinTech companies must still follow the basics of prudent business management – they must earn and maintain the trust of their customers, investors and regulators. As such, innovation can never be an excuse for wilful ignorance; gross or false misconduct; or, neglect of the value of capital (investment and human) that we have to manage. Fail to understand this, and you will not only jeopardize your reputation and business but also risk the system in which you rely. Think of 2008.
Finally, execution is all that matters -- Execution of your value promise to customers; Execution of your business model; and, ultimately, return of investment dividends to your shareholders. It is too easy to shape your expectations as a multiple at exit –this is how bubbles happen -- instead, think about building a viable learning and evolution environment that rewards all your stakeholders for their participation.
I would counsel you not to think of your career as a series of jobs. Instead I would encourage you to think about what skills you need to learn, master and prove to accomplish your life's goals. For the ‘Fin’ in Tech, the basics of financial systems and understanding of financial history is a must. You would also do well with a deep understanding of data, accounting, legal and most of all people.
A note about people. Getting people around you to believe in you, to motivate them to follow you, and to want to partner with you is critical to your success. In a defined corporate environment we call that Leadership. In an undefined environment, like FinTech, we call that Sales. Learning Sales is a critical step to your future success. Embrace it.
At the end of the day, every FinTech will have to be a successful business --- that is getting and keeping customers, driving exceptional value from your team, and rewarding investors through profits. The successful ones understand that from day 1. It is top of mind at RPM.
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Scott Wilkinson (EMBA 2008) is a professional management consultant and financial services strategist currently assisting RPM Technologies in Toronto. With over 20 years’ experience, Scott has helped more than 30 leading financial brands strategically their products and channels for strategic growth.