First, many of the investments have been made to automate existing processes, but the challenge of fundamentally rethinking the process from start to finish - the so-called core process redesign that is necessary to reap the full benefit of the current generation of technologies - has proved daunting.
This is in part because many of the services that banks are attempting to automate currently are “joint goods”, that is, the production and consumption of the product or service depend on the inputs or behaviors of many players outside of the bank and even outside of the financial industry.