Responding to a journalist’s question on how inflation could impact NAB’s Tech Spend and Strategy, CEO Ross McEwan acknowledged the challenge in access to tech talent and revealed the costs could rise by about 2%.
Highlights of FY 23 Half Year Results:
- Continued Tech Investment in Business & Private Banking
- Over the 12 months to March 2022, the number of transaction accounts opened digitally increased from 23% to 35%.
- The launch of NAB Hive in 1H22 to provide a simpler and more flexible way for merchant customers to manage their business and payment needs through a single, easy-to-use digital portal.
- The acquisition of LanternPay and integration of its digital healthcare claiming technology with NAB’s healthcare payments business HICAPS will deliver an enhanced offering to healthcare providers, saving time and simplifying administration.
- The acquisition of Citigroup’s Australian consumer banking business will further support our ambition to build a leading personal bank with a simpler, more digital experience.
- Expenses rose 2.6%, reflecting additional bankers and resources to support growth, combined with salary increases and investment in technology.
Recommended Reading: Unbundling NAB Digital Strategy
Commenting on the tech strategy, Mr McEwan said “We are not immune from the fact that finding tech resources, particularly in the digital and data area is very, very difficult.
We have a number of vacancies at the moment, like most organisations in that particular space, but also engineers.
Our digital and our data operations in really good shape
NAB CEO Ross McEwan
Also Read: IT Simplification a key part of CBA Strategy
We do see the cost of these resources starting to move up and we’re having to think about how we acquire this talent into the organisation in different shapes and form, but I don’t think we’re immune from anybody else”.
Simplification as part of Tech Strategy – It’s a journey with good dividends
“We are constantly simplifying and improving our processes and technology.
Mortgage process simplification is a 3 year program. Around a third has been completed
NAB Tech Strategy and Simplification
We’ve started the journey and I think we’ve shown in our results today and we’re showing in our results today around our simplification of our mortgage process, we’re probably one year into a three year program.
Through our Business Banking simplification I think we’re about 25% through that program that we’ve laid out. So, a good start that’s showing really good dividends, but lots more to do.
