Question 6 Key Lessons for Next-Gen Digital Banks to Deliver Better Banking Technological advances and progressive regulatory environments are encouraging banks to develop open, collaborative ecosystems. These market dynamics have led to the growth of new digital banks and the related issuance of virtual banking licenses across the world. As banking customers have grown in wealth and connectivity, their favorable sentiments towards new methods of banking have increased. These dynamics create the perfect conditions to support the growth of digital banks and a move towards better banking. However, success is not guaranteed unless incumbent banks and new virtual bank entrants can transform into data-driven, high-performance, and profitable organizations. Traditional banks face increasing competition in service innovation, which reinforces the need to redesign conventional banking models. These new banking models need to be built on open, cloud-based technology. Virtual banks may be nimble compared to many incumbents, but they face three immediate challenges: the need to demonstrate to regulators their ability to comply with regulations; the need to monetize data; and the need to turn compliance into a competitive advantage. Using the case study above, examine the importance of Business Process Reengineering in helping businesses to: a) Refocus their values according to the needs of customer. (10 Marks) b) Redesign core processes and Improve business processes of the organization. (10 Marks) c) Reorganize the business into cross-functional teams with end-to-end responsibility. (5 Marks)