Standard Chartered bank has named former Daimler CIO Michael Gorriz as its IT head as the firm's digital transformation gathers pace.
Gorriz, with a background in physics and engineering, has been leading a digital transformation at Daimler in recent years – experience crucial to a bank like Standard Chartered, which is trying to cuts costs and move its customers to digital channels.
Standard Chartered CEO Peter Sands said: “As a leader in digital transformation, Michael Gorriz has the capabilities and experience to drive innovation and change in technology and operations, which are key to delivering our productivity goals and to enhancing our service to clients.
"I am confident that he will be a fantastic addition to Standard Chartered.”
Gorriz’s non-banking background is a reflection of the current changes in banking. New banks and technology companies are challenging the traditional banks by using the latest IT to give them advantages in cost and customer services.
Read more about digital disruption in banking
- Dutch bank ING will cut thousands of staff in its back offices, call centres and IT department as it reduces IT systems through automation.
- Lloyds Banking Group is set to cut thousands of jobs as part of a digitisation strategy that will automate manual tasks.
- European banks that have invested in back-office digital technologies, such as automation software, are reaping higher profits.
Gorriz replaces Jan Verplancke, who has retired after 11 years with Standard Chartered.
In January, the bank said it will reduce its retail banking workforce by 2,000 and is using technology to provide services. “We are realigning staff and resources to meet the changing needs of our clients,” it said at the time.
“Investing in better technology is a key element of our strategy, which will see us moving quickly to adopt more digital and mobile channels, allowing our clients to enjoy easy and convenient banking solutions.”
Standard Chartered is also closing 100 branches.
And it is not alone. Other banks, including the Netherlands' ING and the UK's Lloyds, have announced thousands of job cuts as part of their plans to increase the use of digital.
Their strategy includes using technology to provide customer service channels, such as mobile, and to make internal processes more efficient, such as automation software.