Core is the word for distracted Westpac

Core is the word for distracted Westpac

Summary: Westpac CIO Bob McKinnon has admitted that Westpac's attention had been diverted from the transformation of its core banking systems because of another project, adding that it's high time to get on with the job.

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TOPICS: CXO, Banking
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Westpac CIO Bob McKinnon has admitted that Westpac's attention had been diverted from the transformation of its core banking systems because of another project, adding that it's high time to get on with the job.

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(Going nowhere fast image by YtseJam Photography, CC 2.0)

"The move to St George product platforms has moved to the backburner in the last 12 months as we build a brand new bank from scratch, the Bank of Melbourne," McKinnon admitted at a CEDA event in Sydney on Friday.

"The Bank of Melbourne has probably distracted us in the last 12 months, and its now time for us to get back on with [Westpac core banking modernisation]," he said.

While the development of the Bank of Melbourne has distracted Westpac, McKinnon said that it will benefit the bank's Strategic Investment Priorities (SIPs) in the long term, building on statements made by Westpac's chief technology officer Sarv Girn in April.

Girn said that the development of modern core banking technology for Bank of Melbourne would speed up the delivery of the SIPs, because the rest of the bank could focus on customer service systems while the Bank of Melbourne nutted out core issues in parallel.

"We've now got two runways. On one runway we're transforming customer [facing] platforms and taking the lead for the whole group around that to make sure we're putting in an innovative platform, and in the other one, we're really cranking up our product platforms," Girn told ZDNet Australia.

"Having the 'two runways' approach does speed up things in both areas."

Topics: CXO, Banking

Luke Hopewell

About Luke Hopewell

A fresh recruit onto the tech journalism battlefield, Luke Hopewell is eager to see some action. After a tour of duty in the belly of the Telstra beast, he is keen to report big stories on the enterprise beat. Drawing on past experience in radio, print and magazine, he plans to ask all the tough questions you want answered.

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  • So what is he saying ? that WestPac IT/Management carn't do more that one thing at a time ?? it's must be very hard to renaming St George Bank sites to BOM and using STG back end ??
    jeff_syd
  • Seems like everytime the tech leadership at Westpac fronts the media they get into a muddle. Who would want to bank with bank of melbourne if they are the test bed for Westpac technology? Also, seems like a duplication of systems and more cost in setting up bank of melbourne rather than using the technology for St.George. Is it one bank and multiple brands or multiple banks - Gail Kelly should explain what her strategy is.
    thinkinghat1