What happens to the Banking Industry after Demonetization?

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Everyone in the country is talking about the
after-effects of Nov 8th. Everyone, in some way
or the other, directly or indirectly, in long
queues or with empty pockets, has been affected
by Governments demonetization drive. But even
after all the consequences that are visible
already, the real impact of demonetization would
only come to the surface in several months from
now. One industry that is going to absorb most of
the impact would undoubtedly be the banking
industry. A major research firm has already
predicted that thanks to demonetization, one in
three jobs would be moving to software, robots,
and smart infrastructure. As the overall payment
ecosystem undergoes a massive change, the human
resource aspect of the industry is certain to
feel some significant wake-up calls.
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Most banks and major names at that, had already
started experimenting with bots and influx of AI
(Artificial Intelligence) by investing in many
pilots and projects of scale. Industry
trailblazers are bringing changes where robots
and intelligent devices would not just complement
but also replace human professionals in the
industry. Call centres and service personnel had
already started questioning their relevance and
future even before Nov 8th happened. Now, with
the massive, irreversible and comprehensive push
on going cashless and adopting digital, the
banking industry is going to adopt financial
technology with a new scale and scope.
Investments will indicate the direction towards a
system where intelligent technology and robust
software takes care of most of the parts in the
chain. Adding to the movement is the new thrust
on UPI or Unified Payment Interface, thus giving
a major impetus for online and digital
transactions. Banking is going to become
Internet-enabled, online, bot-powered,
blockchain-ready and way more future-forward than
it was till now.
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It is a good time to get scared. But getting
scared in a positive way, in a way that makes you
adapt instead of shrinking in fear is the answer
now. Be aware of the sweeping changes that
demonetization is going to bring forth as the
Government focuses on curbing black money,
corruption and bringing in more transparency in
the system. All these goals require a new digital
infrastructure for the industry. As that gets
into shape, you can either sit and worry about
the job skills that have gone obsolete or you
can stand up and start preparing for the skills
that will now be in demand. The ease with
computers, being well-versed with technology,
quick adaptability to change, a fast digital
learning curve, ability to handle new-age
applications, IT-friendliness, and agile
orientation will be the new skill sets required,
as old skills ride into the sunset.
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You can either tap the new opportunities that
will now open if you are already a digitally
native generation, or you can prepare yourself at
a rapid pace for the competencies that the
industry will require. No matter what you do, you
cant rely on the skills of the yesteryear. If
you can re-invent your understanding and rigour
for processes and sell its relevance in the new
era, you can secure your future in the era of
digital banking. That should not be hard because
as much digital as the industry turns, there
would be certain core areas of work that only
experienced professionals can supply. Hence, if
you pack a core skill that is very specific to
this domain and can marry the digital with the
solid ground of understanding the banking system
in an agile and smooth way, you will not go out
of date. Just watch well and repackage. Do not
recycle the old.
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Thank You...