Wholesale Payment Processing in Banking (Review Report)

Content

• Catalyst
• Summary
• Methodology
• Executive Summary
  • Introduction
  • Current wholesale payments landscape in banking (Market Focus)
  • The changing face of the wholesale payments industry (Strategy Focus)
  • The future of wholesale payments technology in financial markets (Technology Focus)
  • Wholesale payments processing spend by activity for Europe and North America (Databook)
  • Wholesale payments processing spend by European and North American country (Databook)
  • Wholesale payments processing spend by source for Europe and North America (Databook)
  • Wholesale payments processing activity by internal and external spend for Europe and North America (Databook)
  • Summary
  • Payments processing is moving at different speeds in Europe and North America
  • The external environment - clearing and settlement systems in Europe and North America
  • Real-time gross settlement (RTGS)
  • Deferred net settlement systems (DNS)
  • Automated Clearing Houses (ACH)
  • The wholesale payments market is still comprised of highly fragmented systems
  • Domestic payments require the debiting/crediting of accounts in the same currency
  • Cross-border payments are increasingly becoming 'domestic' transactions inside the EU
  • Falling margins and regulations are increasing pressure on banks to improve efficiency
  • Product innovation is critical if banks are to remain competitive
  • Recent and ongoing changes in the external payments infrastructure are creating more opportunity for banks
• The Changing Face Of The Wholesale Payments Industry (Strategy Focus)
  • Summary
  • Introduction to the payment processing value chain
  • Cost-cutting remains a key driver for payments re-engineering efforts
  • Wholesale payments risk management remains a key priority for banks
  • Enterprise payments strategies have had limited uptake thus far
  • Customer-centricity is critical for a successful enterprise payments strategy
  • Increasing number of banks will acquire 'payment tzars' in near future
  • Enterprise payments strategists can help banks attain horizontal views across products
  • Uptake of shared service centres is driving the centralization of payments processing
  • The centralization of payments policy and processing will have major implications for stakeholders
  • Banks need a long-term enterprise integration strategy in payments processing
  • Vendors should explore wholesale payments systems risk management solutions
• The Future Of Wholesale Payments Technology In Financial Markets (Technology Focus)
  • Summary
  • Banks need to replace legacy systems by adopting component-based approach
  • 'Big-bang' projects are expensive and deliver slow ROI
  • A component-based approach to re-engineering will deliver faster ROI at lower project risk
  • The message broker offers an alternative to expensive thick-client solutions
  • Vendors should focus on providing solutions that support gradual replacement projects
  • Vendors need to effectively demonstrate short-term ROI
  • Vendors need to strike the balance between end-to-end and best-of-breed solutions
• Wholesale Payments Processing Spend By Activity For Europe And North America (Databook)
  • Introduction
  • European wholesale payments processing spend by activity
  • North American wholesale payments processing spend by activity
• Wholesale Payments Processing Spend By European And North American Country (Databook)
  • Introduction
  • Wholesale payments processing spend by European country
  • Wholesale payments processing spend by North American country
• Wholesale Payments Processing Spend By Source For Europe And North America (Databook)
  • Introduction
  • European wholesale payments processing spend by source
  • Wholesale payments processing spend by source for North America
• Wholesale Payments Processing Activity By Internal And External Spend For Europe And North America (Databook)
  • Introduction
  • European wholesale payments processing activity by internal and external spend
  • North American wholesale payments processing activity by internal and external spend
• Appendix
  • Definitions
  • EURO1
• Step1 / Step2
  • SWIFT
• Target / Target2
  • TWIST
  • Payment initiation
  • Payment operations
  • Payment engines
  • Gateways / Interfaces
  • Internal
  • External
  • Packaged software
  • Professional services
  • Outsourcing
  • Hardware
  • Systems integration
• Further reading
  • Ask the analyst
• List of Tables
  • Table 1: European wholesale payments processing spend by activity
  • Table 2: North America wholesale payments processing spend by activity
  • Table 3: Wholesale payments processing spend by European country
  • Table 4: Wholesale payments processing spend by North American country
  • Table 5: European wholesale payments processing spend by source
  • Table 6: North American wholesale payments processing spend by source
  • Table 7: European wholesale payments processing activity by internal and external spend
  • Table 8: North American wholesale payments processing activity by internal and external spend
• List of Figures
  • Figure 1: Segmenting wholesale payments processing
  • Figure 2: Fragmentation of processing platforms in banks
  • Figure 3: The payments processing value chain
  • Figure 4: Payments strategy should be at enterprise level
  • Figure 5: Centralization around an integrated hub is a key strategy
  • Figure 6: Replacing legacy systems is seen as key priority for 2006
  • Figure 7: European wholesale payments processing spend by activity
  • Figure 8: European wholesale payments processing spend by activity
  • Figure 9: North America wholesale payments processing spend by activity
  • Figure 10: North American wholesale payments processing spend by activity
  • Figure 11: Wholesale payments processing spend by European country
  • Figure 12: Wholesale payments processing spend by North American country
  • Figure 13: European wholesale payments processing spend by source
  • Figure 14: North American wholesale payments processing spend by source
  • Figure 15: European wholesale payments processing activity by internal and external spend
  • Figure 16: North American wholesale payments processing activity by internal and external spend