RHB Banking Group

Kelferd Hor

Through this article, Hor highlights that his career has been marked by a consistent focus on growth hacking, using creativity and innovative strategies to tackle business challenges and achieve quick growth.

My career has been marked by a consistent focus on growth hacking, using creativity and innovative strategies to tackle business challenges and achieve quick growth. Over the years, I have taken on different roles with increasing responsibilities as I advanced in my career and transitioned between jobs.

One significant milestone was my time at MyDeal Malaysia in 2014, prior to the acquisition by iBuy Holdings, where I served as the youngest Head of Sales and led a team of 5, later expanding to 14. During this period, I successfully guided the team to achieve over 100% of our sales targets continuously for two months, marking the highest sales milestone ever in the company, with revenue contribution surpassing 75% in the Malaysian entity.

This experience honed my leadership skills and taught me the importance of effective communication, teamwork and strategic planning. These skills have been invaluable in my current role at RHB, where I manage multiple stakeholders and guide my team in delivering innovative solutions.

Significant Challenges in Integrating AI and Digital Solutions

Unlike the e-commerce sector, the banking industry is highly regulated. One of the most significant challenges is managing digital innovation while ensuring compliance with central bank regulations. OpenAI has estimated that AI models have doubled the computational power they use every 3.4 months since 2012. The rapid pace of AI development has created a significant challenge for regulators, who often struggle to keep up with the latest innovations.

It’s not just about launching new technology quickly; we need a deep understanding of every aspect of the governance process to protect customer data and the bank's interests. This requires obtaining clearance through the 3 lines of defense, which adds complexity to the integration of AI and digital solutions.

“The key to effectively balancing personalization and automation in digital banking lies in understanding customers’ needs while leveraging automation to streamline cumbersome processes”

Driving Innovation for Customer Engagement

I drive innovation in digital solutions through 2 key methodologies: design thinking and agile. Design thinking allows us to empathize with customers, understand their needs, and ideate creative solutions that enhance engagement and satisfaction. Meanwhile, the agile methodology enables us to iterate quickly, adapt to feedback, and deliver updates in a timely manner.

To stay ahead of evolving customer expectations, we regularly analyze market trends, gather customer insights, and engage with cross-functional teams to ensure we are proactive in addressing emerging needs and preferences.

Balancing AI insights with data protection compliance

In Malaysia, we are complying with the Personal Data Protection Act (PDPA), which is similar to the General Data Protection Regulation (GDPR) of the European Union (EU). PDPA applies to all organizations that process personal data in Malaysia, regardless of their industry or business model, while the GDPR applies to organizations that process personal data of EU residents, regardless of their location.

In general, digital banks can effectively leverage AI for customer insights while safeguarding customer data and complying with data protection regulations in 3 areas.

Obtain informed consent: Provide transparency and clearly communicate the purpose of data collection and obtain explicit consent from customers.

Minimize data collection: Collect only necessary data for providing services and gaining relevant insights. For enhanced security, use data masking techniques.

Continuous Monitoring: Conduct regulator testing, security audits, and compliance checks to ensure adherence to data protection regulations and identify vulnerabilities.

Personalization vs. Automation in Digital Banking

The key to effectively balancing personalization and automation in digital banking lies in understanding customers’ needs while leveraging automation to streamline cumbersome processes. The balance depends on the complexity of the customer’s needs and the nature of the financial product. For routine transactions and simple inquiries, automation can enhance efficiency and improve the customer experience. However, for complex financial products, like bancassurance, personalized guidance from human advisors is essential.

It's important to recognize that not all customers prefer high-tech, low-touch solutions; some prefer to be served in a more traditional manner.

Leading Teams for Enhanced Digital Experience

I lead my team by fostering a culture of collaboration and open communication. I believe there are 3 crucial steps for strategic alignment. We begin by reviewing the group’s strategic plan and engaging with business stakeholders to dive deep into their focus areas. Next, we perform a gap analysis to identify areas for improvement and document our findings to ensure everyone is aligned. Lastly, we hold regular discussions with relevant stakeholders to ensure our efforts are in line with the company's broader strategy.

Advice for Aspiring Professionals in Digital Banking

I often come across the question of whether to be a jack of all trades or a master of one. There is no right or wrong answer. While having a broad understanding of digital banking can be beneficial, specializing in a particular area can make a person sought after as an expert. Ultimately, the best approach depends on individual interests and career goals.

Building a successful career in digital banking requires a combination of communication skills, business acumen, and a strong digital quotient. By continuously learning, gaining practical experience, and obtaining industry-recognized credentials, you can position yourself for success in this dynamic field. As Albert Einstein once said, 'When you stop learning, you start dying.