Why Bank CIOs Must Rethink 10 Missing Links in the Banking IT Operating Model - Part 2💲

CIO Diagnostic Series — Banking Edition

Banking IT Looks Mature — Until You Look Underneath

Most banks appear structurally sound:

• Core and treasury systems are mapped

• Mobile, internet, and branch channels are digital

• Customer 360 exists

• API management looks standardized

• Risk, AML, and compliance tools are certified

• Cloud programs are active

• DevOps ceremonies are established

And yet — execution pain persists.

Transformation slows. Releases slip. Audit findings resurface. Customer experience remains inconsistent.

The problem isn’t effort or investment.

It’s that banking systems were modernized, not architected.

Flows were digitized — but never structurally modeled. Governance exists — but isn’t anchored in logic. Teams execute — without a shared enterprise blueprint.

So predictable failures keep repeating:

• Strategy doesn’t translate into releases

• Lending, payments, CRM, and compliance run — but don’t run together

• Minor changes trigger unexpected consequences

• Leadership decisions rely on memory, not modeled truth

The Reality

Inside most banks, the actual architecture of the enterprise still doesn’t exist.

One Bank, One Anatomy™ — The True Structure

Every bank is built on 15 essential enterprise functions across four domains:

A. Core Banking Operations

• Retail Banking

• Corporate Banking

• Wealth Management

• Treasury & Capital Markets

• Payments & Digital Banking

B. Risk, Security & Regulatory Integrity

• Risk Management

• Regulatory Compliance & Legal

• Fraud Prevention & Cybersecurity

C. Technology, Efficiency & Continuity

• Technology & Digital Transformation

• Core Banking Systems & Infrastructure

• Operational Resilience & Business Continuity

D. Revenue, Customer & Market Growth

• Finance & Revenue Management

• Customer Experience & CRM

• Marketing & Brand Strategy

• Product & Innovation Management

Without this anatomy, IT becomes a portfolio — not an architecture.

Bank System Count by Enterprise Function (D1–D15)

Dept Code	Enterprise Function	Typical System Count	Example Systems Inside
D1	Retail Banking	20–30	LOS, deposit engine, collections, card servicing, retail CRM, onboarding, dispute mgmt
D2	Corporate Banking	25–35	Trade finance, cash mgmt, corporate onboarding, SWIFT gateway, treasury integration
D3	Wealth & Investment	12–20	Portfolio mgmt, advisory tools, RMsuite, KYC workflow, order mgmt, custody
D4	Payments & Digital Banking	15–22	UPI, RTGS/ACH, card switch, payment hub, e-mandate, wallet, settlement
D5	Treasury & Capital Markets	15–25	Treasury core, ALM, trading, risk engines, deal capture, liquidity monitoring
D6	Risk Management	12–18	Credit scoring, EWS, limit mgmt, stress testing, model mgmt
D7	Compliance & Legal	10–15	AML, sanctions screening, regulatory reporting, case mgmt
D8	Fraud & Cybersecurity	8–14	Fraud analytics, IAM, SIEM, DLP, endpoint security, privileged access
D9	Finance & Revenue Mgmt	10–18	GL, reconciliation, profitability engines, tax systems, cost mgmt
D10	Customer Experience & CRM	8–12	Contact center, service desk, complaint mgmt, CX analytics
D11	Marketing & Brand	6–10	Martech platform, campaign mgmt, segmentation, loyalty
D12	Product & Innovation	6–12	Product catalog, pricing engine, sandbox, launch workflow
D13	Technology & Digital Transformation	40–60	Integration layer, API mgmt, BPM, dev tools, monitoring, ITSM
D14	Core Infrastructure & Shared Services	35–55	DB platforms, storage, networking, cloud, identity backbone
D15	Operational Resilience & Business Continuity	6–10	DR orchestration, backup, continuity planning, failover monitoring

Total Architectural Footprint

~180–230 systems across a typical bank

This is consistent across India, GCC, Europe, and North America — only the mix shifts.

Why these numbers matter — architecturally

• No single department sees all 180–230 systems

• P3–P4 missing → decisions impact unknown systems

• Integration isn’t the problem — understanding interlocks is

• Modernization stalls because legacy isn’t structurally mapped

• Without Anatomy, funding goes to tools, not enterprise clarity

CIO insight to include in workshops

“System complexity is not the enemy — unmodeled complexity is.”

10 Missing Links in the Banking IT Operating Model

1. Missing Link 1 — No Structured IT Function Model

Most IT teams lack a traceable view from:Strategy → Process → System → Component → Implementation → Operations

So accountability becomes negotiable.

L1 — Observable Problem

Teams deliver projects successfully, yet enterprise outcomes remain inconsistent.

L2 — What’s Actually Broken

No single blueprint showing how banking strategy becomes processes, systems, components, releases, and operations — end to end.

L3 — Anatomy Breakdown (Example)

Interpretation

Teams execute well, but no single stitched blueprint exists across P1–P6.

Perspective ↓ / Dept →

D1 Retail (25)

D2 Corporate (30)

D3 Wealth (18)

D4 Payments (22)

D5 Treasury (20)

D6 Risk (14)

D7 Compliance (12)

D8 Fraud/Cyber (10)

D9 Finance (15)

D10 CX (12)

D11 Marketing (8)

D12 Product (10)

D13 Tech (50)

D14 Infra (45)

D15 Bus. Continuity (9)

P1 Strategy

✅

✅

✅

✅

✅

✅

✅

✅

✅

✅

✅

✅

✅

✅

⚠️

P2 Process

✅

⚠️

⚠️

✅

✅

✅

✅

✅

✅

⚠️

⚠️

✅

✅

✅

⚠️

P3 Systems /Logic

⚠️

⚠️

⚠️

✅

✅

✅

⚠️

✅

⚠️

⚠️

❌

⚠️

✅

✅

⚠️

P4 Components

❌

⚠️

❌

⚠️

⚠️

⚠️

❌

⚠️

❌

❌

❌

⚠️

✅

✅

❌

P5 Implementation

✅

✅

✅

✅

✅

⚠️

⚠️

⚠️

✅

✅

⚠️

✅

✅

✅

⚠️

P6 Operations

⚠️

⚠️

⚠️

✅

✅

✅

✅

✅

✅

⚠️

❌

⚠️

✅

✅

✅

Core message: Enterprise execution collapses where P3–P4–P6 aren’t traceable.

⚠️ = missing or unclear structural link

Current vs. Anatomy-Driven

Today	With Enterprise Anatomy™
Planning, design, build, run disconnected	One traceable flow P1 → P6
Accountability unclear across functions	Shared ownership per function + perspective
Strategy interpreted differently across teams	Strategy structurally instantiated
Architecture remains conceptual	Architecture becomes executable

How it helps: Enterprise becomes navigable — decisions, funding, and change gain structural coherence.

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